CCSB Contact: William F. Mascaro Telephone (703) Item Description Class

Transcription

1 Re: Grading or Road Making Attachments or Implements CCSB Contact: William F. Mascaro Telephone (703) Proponent: Commodity Classification Standards Board Present Classification Provisions Item Description Class MACHINERY GROUP: subject to item Grading or Road Making Implements: Blades, or Cutting Edges, grader or scraper, steel Bulldozer Attachments, consisting of root rakes or rock rakes, on skids, or stumper blades, loose or on skids Discs, road grader: Sub 1 Loose or in bundles if weighing each 25 pounds or over Sub 2 In boxes or crates Drums, Rotors or Wheels, scarifier, iron or steel, without cutting teeth, banded to pallets or skids Graders or Levelers, drag Graders and Self-propelling Road Rollers combined Graders, wheeled: Sub 1 SU, wheels on or off Sub 2 KD Road Scraper Bails Rollers, road, self-propelling or other than self-propelling Sand or Gravel Spreaders, mounted on freight automobile chassis Sand or Gravel Spreaders, NOI Scarifiers Scarifiers and Mixers combined, power Scarifier Teeth or Tooth Bases (Shanks) Scrapers, NOI, drag, horse or tractor drawn, not wheeled Steering Poles or Guides, grader Tractors and Tractor Excavating, Grading or Loading Attachments combined, see Note, item , or Motor Graders NOTE Parts of the attachment may be removed when necessary to facilitate loading or provide safe highway clearance Grading or Road Making Implement Parts, iron or steel, NOI, see Note, item NOTE Also applies on parts made of a combination of iron or steel and other materials, provided the weight of the other materials does not exceed 20 percent of the total weight of such combined parts National Motor Freight Traffic Association, Inc. Subject 3, Page 1 of 9

2 Proposed Classification Provisions Item Description Class MACHINERY GROUP: subject to item Grading or Road Making Attachments or Implements, viz.: Blades or Cutting Edges, grader or scraper, steel, see Notes, items A-NEW, B-NEW and C-NEW; Graders, NOI, Levelers or Scrapers; Graders and Self-Propelled Road Rollers combined; Grading or Road Making Attachment or Implement Parts, NOI, iron or steel; Rollers, grading or road; Root Rakes, Rock Racks or Stumper Blades, bulldozer; Scarifier Drums, Rotors or Wheels, iron or steel, without cutting teeth; Scarifier Teeth or Tooth Bases (Shanks); Scarifiers or Scarifiers and Mixers combined; Spreaders, gravel or sand; Tractors and Tractor Excavating, Grading or Loading Attachments combined; In packages, subject to Item 170 and having a density in pounds per cubic foot of: Sub 1 Less than Sub 2 12 but less than Sub 3 30 or greater A-NEW NOTE Applies on blades or cutting edges with or without permanently affixed mounting brackets. B-NEW NOTE Does not apply on blades or cutting edges for moving, plowing or pushing snow. For applicable provisions, see items and C-NEW NOTE Does not apply on blades or cutting edges equipped with mounts, arms or devices for attaching to tractors or trucks. For applicable provisions, see item Blades, or Cutting Edges, grader or scraper, etc.... Cancel; see Bulldozer Attachments, consisting of root rakes or rock rakes, on skids, or stumper blades, etc.... Cancel; see Discs, road grader, etc.... Cancel; see Subject 3, Page 2 of National Motor Freight Traffic Association, Inc.

3 Proposed Classification Provisions Concluded Item Description Class MACHINERY GROUP: subject to item Grading or Road Making Attachments or Implements: subject to Drums, Rotors or Wheels, scarifier, iron or steel, without cutting teeth, etc.... Cancel; see Graders or Levelers, drag... Cancel; see Graders and Self-propelling Road Rollers combined... Cancel; see Graders, wheeled, etc.... Cancel; see Road Scraper Bails... Cancel; see Rollers, road, self-propelling or other than self-propelling... Cancel; see Sand or Gravel Spreaders, mounted on freight automobile chassis... Cancel; see Sand or Gravel Spreaders, NOI... Cancel; see Scarifiers... Cancel; see Scarifiers and Mixers combined, power... Cancel; see Scarifier Teeth or Tooth Bases (Shanks)... Cancel; see Scrapers, NOI, drag, horse or tractor drawn, not wheeled... Cancel; see Steering Poles or Guides, grader... Cancel; see Tractors and Tractor Excavating, Grading or Loading Attachments combined, see Note, item , or Motor Graders... Cancel; see NOTE Cancel; no further application Grading or Road Making Implement Parts, iron or steel, NOI, see Note, item Cancel; see NOTE Cancel; no further application National Motor Freight Traffic Association, Inc. Subject 3, Page 3 of 9

4 Analysis Research Project 1214 This proposal is based on information developed through Research Project 1214, which was initiated in January of 2014 to investigate the transportation characteristics of grading or road making implements, as named in the various NMFC items shown in the Present Classification Provisions, in response to interpretative issues. As part of the research, the CCSB mailed commodity questionnaires to 170 potential manufacturers or shippers of the involved commodities and seven trade associations believed to represent those manufacturers or shippers, inviting them to participate in the research. The surveys were mailed in June of 2014, and again in July of 2014 to those that did not respond to the initial mailing. From this sampling, eight companies responded that they did not manufacture or ship the involved articles, and eight companies provided information, although not all of the responding companies provided information on the transportation characteristics of their products. Two associations indicated that they did not represent manufacturers or shippers of the involved articles. No responses were received from the other associations. History of Provisions Items , , , , , , , , , , , , , and were adopted from the rail classification in Since that time, a few of these provisions have been changed, although the majority have remained substantially unchanged. The provisions of item , naming bulldozer attachments, consisting of root rakes, rock rakes or stumper blades, were established as a result of action taken on Docket 38, Subject 32 (October 1948). The record did not provide specific information related to the transportation characteristics of the involved articles, but did cite weights ranging from 1,950 to 3,975 pounds and values ranging from $ to $1, (in 1948 dollars) for root or rock rakes. Stumper blades were reported to range in weight from 1,200 to 2,650 pounds and range in value from $ to $1, (in 1948 dollars). That proposal was approved as modified, and the provisions first appeared in Supplement 20 to NMFC No. 9, effective March 5, The provisions of item , naming scarifier drums, rotors or wheels, were established as a result of action taken on Docket 913, Subject 9 (May 1991). That was a proposal to establish a specific provision for these articles. Information of record showed a density range from to pcf, with a simple average density of pcf. Drums or rotors exhibited values ranging from $1.85 to $2.55 per pound, while wheels were found to have a value of $4.15 per pound (all in 1991 dollars). The record also cited negative handling, stowing and liability concerns. The proposal was approved as modified, and the provisions first appeared in Supplement 3 to NMF 100-R, effective October 5, The provisions of item , naming tractors and tractor excavating, grading or loading attachments combined, or motor graders, were established as a result of action taken on Docket 57, Subject 36 (January 1953). The supporting documentation for that proposal is no Subject 3, Page 4 of National Motor Freight Traffic Association, Inc.

5 longer available. The provisions first appeared in Supplement 24 to NMFC No. 11, effective August 11, About Grading or Road Making Attachments or Implements The involved articles are generally used to prepare or finish earthen surfaces for roads, and related applications. Uses include land clearing, grading, leveling and compacting, as well as smoothing, spreading and other related functions. Depending upon the intended application, they may be pushed or pulled by a tractor or motorized vehicle, or they may be self-propelled. Others are mounted alongside or behind a tractor or motorized vehicle. Examples of various types of grading or road making attachments or implements are shown below National Motor Freight Traffic Association, Inc. Subject 3, Page 5 of 9

6 Transportation Characteristics Density The information of record is based on data submitted by shippers and carriers, obtained during CCSB dock surveys and obtained from the CCSB s Density Study 1. Combined, these sources yield 10,172 density observations on articles reported to be moving under the provisions of the involved items. The densities range from 1.00 to pcf, with an average of pcf. The table below provides an evaluation of the data on the basis of the three proposed density groupings, which results in the following ranges and averages. Density Group (pcf) Density Range (pcf) Average Density (pcf) Less than but less than or greater Handling Grading or road making attachments or implements are generally tendered loose 2 or secured on lift truck skids or pallets, with little or no protective packaging. The involved attachments or implements, due to their size, weight and/or configuration, are more difficult to handle than general boxed freight and require additional equipment, such as fork extensions, or additional personnel to safely handle. Stowability Grading or road making attachments or implements tendered loose or secured on lift truck skids or pallets present some significant negative stowability considerations. In general, these articles will require floor loading due to their size and weight. Articles tendered in this manner will generally lack a flat load-bearing surface for the stowing of other freight on top. They may also lack lateral support for freight loaded adjacent to them in the vehicle. Additionally, grading or road making attachments or implements may have protrusions and/or exposed surfaces or edges that can limit the type of freight that may safely be loaded adjacent to them. In the LTL environment, this means that carriers will either not be able to load other freight on top of or adjacent to the unit, or that they will have to employ the use of load decks and/or dunnage, resulting in an associated increase in time necessary to properly structure the load. 1 The Density Study is part of an ongoing effort by the CCSB to collect information on actual shipments; it is not tied to any particular research project, nor does it target any particular product category. Carriers that choose to participate in the study periodically submit shipment data captured through their respective freight auditing programs. The data is identified by NMFC item, and only verifiable data points, which include the weight and the dimensions and/or cube of the shipping unit involved, are used. 2 While many of the current provisions do not require any packaging and the freight can, therefore, be shipped loose, the proposed provisions would require the involved articles to be tendered in packages. Subject 3, Page 6 of National Motor Freight Traffic Association, Inc.

7 Liability Grading or road making attachments or implements are not perishable, hazardous in nature or susceptible to theft. They may be susceptible to damage depending on the particular attachment or implement and/or the manner in which they are tendered for shipment. In addition to having an impact on susceptibility to damage, the manner in which a particular attachment or implement is tendered for shipment will also have an impact on its propensity to damage other freight. Grading or road making attachments or implements shipped with little or no protective packaging may have protrusions and/or exposed surfaces or edges that can puncture, mar or otherwise damage adjacent freight. Also, shipments loaded in a vehicle are generally supported to some extent by adjacent freight. When these articles are tendered loose or on lift truck skids or pallets, they may not provide sufficient lateral support for adjacent freight, which can result in damage to either the article itself or the adjacent freight. However, there is no indication of a claims problem. The information of record on the value of grading or road making attachments or implements indicates a range from $2.22 to $9.55 per pound, with an average value of $5.32 per pound. Photographs of grading or road making attachments or implements as tendered for shipment are shown below and on the following page National Motor Freight Traffic Association, Inc. Subject 3, Page 7 of 9

8 Relationship to CCSB Policies and Guidelines CCSB policy calls for provisions to be as clear as possible to mitigate the potential for interpretation disputes. CCSB policy also calls for provisions to reflect a commodity s known transportation characteristics. Information of record has found densities for the involved articles ranging from 1.00 to pcf, with an average density of pcf. CCSB policy states that when commodities or commodity groups exhibit a wide density range not accurately reflected by a single overall average density, density-based classes may be established. The data of record can be divided into three density groupings of less than 12 pcf, 12 but less than 30 pcf, and 30 pcf or greater. The table below shows the classes associated with each respective average density based on CCSB guidelines. Density Group (pcf) Average Density (pcf) CCSB Minimum Average Density Guideline (pcf) Class Based on CCSB Density Guidelines Less than but less than or greater CCSB policy further states that unusual or significant negative handling, stowability or liability characteristics may be contributing factors in the assignment of classes. Negative handling, stowability and liability concerns have been detailed in this analysis. These concerns include factors such as the need for additional equipment or personnel to safely handle the freight, the lack of a load-bearing surface for top freight and lack of lateral support for adjacent freight, and the articles susceptibility to be damaged and likelihood of damaging other freight. Subject 3, Page 8 of National Motor Freight Traffic Association, Inc.

9 Based on the identified negative handling, stowing and liability concerns, classification precedent has been to assign classes higher than those associated with the CCSB density guidelines. This proposal would establish classes based on density 3, with a two-class adjustment based on the average density of each grouping, as shown in the table below. Density Group (pcf) Average Density (pcf) Class Based on CCSB Density Guidelines Class Adjustment Based on Handling, Stowability and Liability Considerations Less than but less than or greater In addition to providing classes reflective of the transportation characteristics of the involved articles, this proposal would also establish three new Notes clarifying grader or scraper blades or cutting edges. Notes, items and would be canceled as having no further application. Precedent for this approach can be found on Docket , Subject 12 (June 2013) involving snowplows, snowplow blades (moldboards) or snow pushers, vehicle or tractor attaching; or mounts, arms or devices, snowplow or snow pusher attaching, as named in item In that instance, the CCSB approved provisions based on a density break at 10 pcf, wherein the involved articles were assigned classes representing a two-class adjustment from those called for under CCSB guidelines for each density group, in view of their respective negative handling, stowability and liability characteristics. The changes first appeared in Supplement 2 to NMF 100-AM, effective August 24, Based on the information of record, this proposal, as docketed, is in keeping with CCSB policy and precedent. 3 The density provisions would include reference to Item (Rule) 170, the inadvertence clause National Motor Freight Traffic Association, Inc. Subject 3, Page 9 of 9